When large amounts of money are involved, it pays to learn as much as you can. The resources for borrowers below include:
With this simple tool, you can enter the monthly payment you can afford, along with other info, to calculate the home price you can afford.
Or, enter the price of a home you have in mind, and find out what the payments will be. Adjust the various fields to get a sense of what will work best for you.
Do you want the mortgage process to be simple and stress-free? Of course you do!
If you’ve heard horror stories about some people’s mortgage experiences, chances are they weren’t following these tips:
1 Do begin the pre-approval process 3-6 months prior to desired move date. This will allow ample time for your loan officer to help with any needed credit improvements. It will also allow you to plan better, without any last-minute frenzy!
2 Do ask away! Don’t be shy – ask as many questions as you need. The homebuying process is one time when want to feel well-informed, not uncertain. Let us know of any concerns or doubts, and let’s address them until that worried look on your face turns into a confident smile.
3 Do communicate with your Loan Officer. Tell us everything; we’re your advocate. Is there something about your circumstances or home purchase that may be non-standard or unusual? No worries; the more we know, the better we can create a loan that accommodates your specific needs.
4 Do notify your Loan Officer immediately if there are any changes with the source of funds being used for the home purchase. Any money that will be gifted should be disclosed upfront; your Loan Officer will explain how and when it should be submitted.
5 Do minimize transfers from accounts, and minimize large cash deposits. More transfers means that more documentation will be needed. Sure, juggling large sums of money is a little scary, but tell us what you’re planning to do and we can offer some guidance to keep things simple.
1 Don’t make any large purchases during the homebuying process; these could impact your savings plan and also your ability to qualify. Sure, you’ve got your eye on some nice furniture or a washer & dryer, but hold off on that shopping spree until you close on your loan.
2 Don’t open any new accounts during the homebuying process without first discussing with your Loan Officer. Credit profiles are scanned for new accounts during the loan process and prior to closing. We don’t want anyone to think someone as honest as you is trying to pull something funny.
3 Don’t make any job changes during the loan process. Should such a situation arise where a job change occurs, please notify your Loan Officer immediately. Loan companies get a little nervous at any sign of instability.
4 Don’t save for your home purchase with an at-home piggy bank. All funds must be come from your savings at an established financial institution. Using cash can cause an unnecessary red flag, since it’s difficult to track. No point in seeming suspicious to people who are lending you money, right?
You’ll fill out your online mortgage loan or refinancing application as completely as possible.
A helpful mortgage advisor at Elcap will get in touch with you to go over everything. We’ll ask some questions to clarify your goals and other factors, so we can determine the right type of loan for you.
You’ll be set up to access a simple online portal, where you can send us requested items such as income verification.
If you’re a homebuyer who appears to qualify for a loan, we’ll quickly send you a Pre-Qualification Letter you can present to house sellers to show that you’re a qualified buyer.
Meanwhile, we’ll complete your mortgage loan package. If there’s more than one good option, we’ll explain them so you can make the right decisions.
Once you find a house you love and are under contract to purchase it, you’ll let us know. We’ll order the title appraisal, inspection and other items to submit for the final loan processing.
Once the loan is conditionally approved by underwriting, we’ll gather additional documentation that is needed to finalize the loan.
Closing is scheduled; at that meeting you’ll receive your final loan approval. Congratulations, you own your new dream home!